FAQ House Property

Q. I have rented a house property for Rs.30000 p.m. and have incurred Rs.150000 on its repairs and premium for insurance of house during the year, will such an expense be allowed while computing income from house property?

Ans. Income Tax Act provides for standard deduction u/s 24(a) for the various expenses incurred by the assessee in connection with the house property. Standard deduction is allowed equal to 30% of NAV even if actual expense is greater than that or less than that. In your case no municipal taxes are paid so

NAV [30000*12] = 360000
Less Standard deduction = 108000
[360000*30%]
Income from house = 252000
property

Comments

Popular posts from this blog

NRI -Business in India

Now, expect I-T refunds sooner